Powered by MOMENTUM MEDIA
the adviser logo
Lender

NAB passes on rate cut

by James Mitchell4 minute read
NAB

NAB has announced it will pass on the RBA’s full rate cut to its mortgage customers.

The major bank says it will reduce its variable rate for home loans by 0.25 per cent.

NAB’s Variable Rate for Home Loans (Standard Variable Rate) will reduce from 5.60 per cent per annum to 5.35 per cent per annum.

NAB group executive of personal banking Gavin Slater said the bank considers a range of factors when making the decision to change interest rates.

Advertisement
Advertisement

“The circumstances of each decision will always vary and we must take into account factors such as competition, regulatory capital requirements and funding costs,” Mr Slater said.

“Today’s decision balances the needs of our home loan customers with our shareholders.”

The change applies to owner-occupier and residential investment variable rate home loans.

For owner-occupiers with NAB’s Variable Rate for Home Loans (Standard Variable Rate), the rate will reduce from 5.60 per cent per annum to 5.35 per cent per annum.

For residential investors with NAB’s Variable Rate for Residential Investment Home Loans, the rate will reduce from 5.75 per cent per annum to 5.50 per cent per annum.

NAB will also reduce its rate on standard variable business rate lending products by 0.25 per cent.

The new rates will be effective from Monday, 16 May 2016.

nab  x

James Mitchell

James Mitchell

AUTHOR

James Mitchell has over eight years’ experience as a financial reporter and is the editor of Wealth and Wellness at Momentum Media.

JOIN THE DISCUSSION

You need to be a member to post comments. Register for free today

MORE FROM THE ADVISER

PhilipLowe mb

RBA attempts to curb runaway inflation

On Tuesday (5 July) the Reserve Bank of Australia (RBA) announced at its monetary policy meeting it will increase the...

READ MORE
flood qld suburbs ta

Home loan support offered to NSW flood victims

Widespread persistent heavy rain over large swathes of NSW over the weekend and into Monday (4 July) has caused major...

READ MORE
Dr Jane Rennie CPA

Accountants to decline ‘capacity to repay’ requests

The leaders of CPA Australia, the Institute of Public Accountants (IPA), and the Chartered Accountants Australia and...

READ MORE
magazine
Read the latest issue of The Adviser magazine!
The Adviser is the number one magazine for Australia's finance and mortgage brokers. The publications delivers news, analysis, business intelligence, sales and marketing strategies, research and key target reports to an audience of professional mortgage and finance brokers
Read more